The above dairy plant was acquired within the framework of Wimm-Bill-Dann’s strategy of regional expansion. Prior to the acquisition the company didn’t own a production facility in the Krasnoyarsk region.
The plant, founded in 1944, has been modernized over the past 15 years. Its production infrastructure was overhauled between 2000 and 2004. The plant is currently processing up to 300 tons of raw milk per day, which is being purchased from the farms, situated within 150 kilometers from the facility. Tinned dairy products currently make up approximately 70% of the plant’s total output.
Following the acquisition of Nazarovskoe Milk OJSC the Company will expand into new niches of the dairy market and penetrate a new perspective region with a high growth potential. Prior to the acquisition Wimm-Bill-Dann delivered its dairy products from its plant in Novosibirsk, 800 km away from Krasnoyarsk, which made it difficult to increase further the company’s presence in the city and the surrounding area.
Wimm-Bill-Dann Foods OJSC16 Yauzsky Boulevard, Moscow, RussiaPhone: +7 495 105 5805Fax: +7 495 105 5800web: http://www.wbd.comE-mail: kagan@wbd.ru
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Wimm-Bill-Dann, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to conform them to actual results. We refer you to the documents Wimm-Bill-Dann files from time to time with the U.S. Securities and Exchange Commission, including our Form F-1. These documents contain and identify important factors, including those contained in the section captioned “Risk Factors” in our Form F-1, that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, potential fluctuations in quarterly results, our competitive environment, acquisition strategy, risks associated with operating in Russia, volatility of stock price, financial risk management, and future growth subject to risks.